World trade and settlement terms_Branding Packaging for Fashion Industry-Sinicline

Home>Industry news>World trade and settlement terms

World trade and settlement terms
Release time:2013-04-08 Source:admin Reads:
China has overtaken America on importing crude oil recently; it is the most important partner in world trade. Large containers locked with plastic seals are filled in the harbor. Under the Inco term standard published by the International Chamber of Commerce, FOB stands for "Free On Board", and is always used in conjunction with a port of loading. Indicating "FOB port" means that the seller pays for transportation of the goods to the port of shipment, plus loading costs. The buyer pays cost of marine freight transport, insurance, unloading, and transportation from the arrival port to the final destination. The passing of risks occurs when the goods pass the ship's rail at the port of shipment. For the block transactions, the two parties often negotiate to make the payment in discussed terms to secure the mutual interest. In the past, you would be able to determine when title transferred for goods based on the FOB point. For example, at year- and period-end goods in transit under "FOB destination" appear on the seller's balance sheet but not in the buyers’ balance sheet, as the risk and rewards of ownership change to the buyer at the "destination" port with plastic seals in good condition. It is much easier to determine when title transfers by referring to the agreed upon terms and conditions of the transaction, typically, title passes with plastic seals. The transfer of title may occur at a different time than the FOB shipping term. The transfer of title is the element of revenue that determines who owns the goods and the applicable value. Import fees when they reach the border of one country to enter the other country under the conditions of FOB Destination are due at the customs port of the destination country. With the advent of e-commerce, most commercial electronic transactions occur under the terms of "FOB shipping point" or "FCA shipping point".

Last：Basic seals for daily usage
Next：Styles much and logistics fast, ZARA creat the miracle in the economic downturn